What is the closing entry to allocate net income of $54,000 to Sara,Ellen,and Mary? Respective capital balances are $50,000,$80,000,and $20,000.No agreement was made for division of income.
A)Debit Income Summary $54,000;credit Sara,Capital $18,000;credit Ellen,Capital $18,000;credit Mary,Capital $18,000
B)Debit Income Summary $54,000;credit Sara,Capital $18,000;credit Ellen,Capital $28,800;credit Mary,Capital $7,200
C)Debit Salary Expense $54,000;credit Salaries Payable $54,000
D)Net income cannot be allocated.

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The Answer of What is the closing entry to allocate net income of $54,000 to Sara,Ellen,and Mary? Respective capital balances are $50,000,$80,000,and $20,000.No agreement was made for division of income.
A)Debit Income Summary $54,000;credit Sara,Capital $18,000;credit Ellen,Capital $18,000;credit Mary,Capital $18,000
B)Debit Income Summary $54,000;credit Sara,Capital $18,000;credit Ellen,Capital $28,800;credit Mary,Capital $7,200
C)Debit Salary Expense $54,000;credit Salaries Payable $54,000
D)Net income cannot be allocated.

What Is the Closing Entry to Allocate Net Income of $54,000